US Urges Global Regulators To Review Bank Crypto Standards Amid Stablecoin Surge
The US is leading a push for global regulators to reassess banking standards for cryptocurrency holdings, citing rapid developments in the stablecoin sector and evolving regulatory landscapes. The Basel Committee on Banking Supervision's 2022 framework, which imposed stringent capital requirements on banks' crypto exposures, is now under scrutiny as major economies like the US and UK hesitate to implement it.
Banking executives have long viewed the Basel standards as a deterrent to crypto engagement, but the industry's growth—particularly in stablecoins—has forced a reevaluation. The BCBS is reportedly debating whether the rules remain fit for purpose amid shifting institutional attitudes and market dynamics.